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Europe's massive defense gamble

March 11, 2026

Across the continent, industry is shifting back toward a long‑dormant sector: defense. But can rising military spending breathe life into a sluggish European economy — or is the gamble too big to pay off?

https://p.dw.com/p/59qlh

Europe is rapidly re-arming after decades of underinvestment, driving explosive growth in its defense sector and revitalizing industries from steel manufacturing to high‑tech aerospace.

Companies such as Airbus, Rheinmetall, and BAE Systems are expanding production as governments boost defense spending in response to Russia’s invasion of Ukraine and uncertainty over future U.S. support.

While traditional equipment like tanks and fighter jets still dominate procurement, industry leaders warn that Europe must urgently invest more in AI, drones, and next‑generation systems to remain competitive and secure long‑term economic benefits.


This video summary was created by AI from the original DW script. It was edited by a journalist before publication.

 

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